China, India Tapping into Promising African Market; Beijing Announces Tariff Cuts, Both Countries Aim to Expand Exports

The Yomiuri Shimbun
Toyota Tsusho Corp.’s logistics center, which handles auto parts, is seen in Durban, South Africa.

DURBAN, South Africa — China and India are keen to tap into the African market, which has a high potential for growth. China announced earlier this month that it would impose no tariffs on imports from 53 African countries staring in May. India, which sees itself as a leader of the Global South emerging and developing countries, has been increasingly expanding exports to Africa.

These moves are likely to affect Japan’s strategy of strengthening economic ties with African countries.

In a congratulatory message to the African Union summit held in Ethiopia on Feb. 14, Chinese President Xi Jinping said that China would implement zero-tariff treatment to 53 African countries starting in May. In the message, he stressed the significance of the move, saying, “These new measures by China to expand high-level opening up will surely provide new opportunities for Africa’s development.”

Africa has a population of about 1.5 billion, and economic growth on the continent is expected in the future. In addition, many African countries are rich in cobalt, copper, rare metals such as rare earths and other mineral resources.

Experts believe that China wants to secure mineral resources through imports from Africa and tap into the huge growth market as an export destination for Chinese products.

Trade deficit

In December 2025, meanwhile, Indian Prime Minister Narendra Modi visited Ethiopia and met with the country’s Prime Minister Abiy Ahmed. At the meeting, Modi stressed the relationship between India and Africa, saying that it was a great honor that India had played a leading role in making the AU a permanent member of the Group of 20 major economies.

India also positions Africa as an important market. As India imports a large amount of crude oil and other resources from foreign countries and has chronic trade deficits, the country has been implementing measures to expand exports.

Of India’s total exports of $445.2 billion (about ¥69 trillion) in 2025, 10.1% went to Africa, lower than those to the United States and the European Union that stand at around 20%, respectively. Even so, India has high expectations for the promising African market, and the Tata Motors Ltd. has strengthened its passenger car sales business in South Africa and other African countries.

Japanese companies such as Suzuki Motor Corp. and major air-conditioning manufacturer Daikin Industries, Ltd. are increasing exports of products manufactured in India to Africa.

Protecting domestic industries

The Japanese government is also focusing on the African market. In August 2025, the government proposed the Economic Region Initiative of Indian Ocean-Africa, encouraging Japanese companies to enter the African market via India.

However, African countries are increasingly calling for the protection of their own domestic industries in response to the increasing imports from China and India. In South Africa, it was reported in January that the South African government was considering imposing antidumping duties on vehicle imports from the two countries.

For Japanese companies, enhancing local production capabilities is a challenge.

Toyota Tsusho Corp. has been operating in Africa as a trading company. “We hope we will be able to support the entry of auto parts manufacturers and other companies into Africa in order to strengthen supply chains,” said Isao Kawahata, deputy managing director at the company’s local arm in South Africa.